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PPF Calculator
Public Provident Fund · 7.1% p.a. · Tax-free maturity · Updated FY 2026–27
7.1% guaranteedSection 80CTax-free maturity15 / 20 / 25 years
Enter your PPF details
₹
₹500₹2L
Monthly equivalent: ₹12,500/month
Max ₹1,50,000/year · Min ₹500/year · Section 80C deductible
PPF tenure(15 years mandatory + 5-year block extensions)
ℹ️
Current PPF rate: 7.1% per annum, compounded annually. The Government of India announces the PPF rate quarterly. The rate has been stable at 7.1% since April 2020. This calculator uses the current rate for all years actual returns may vary if the rate changes.
Maturity amount
₹40.68 L
after 15 years
Total deposited
₹22.50 L
₹150K × 15 yrs
Interest earned
₹18.18 L
80.8% of deposits
Triple tax-free benefit (EEE status)
1️⃣
Deposit deduction
₹150K/year deductible under Section 80C
Saves ₹₹45,000/yr (30% bracket)
2️⃣
Interest tax-free
₹₹18.18 L interest earned is 100% exempt
Section 10(11) exemption
3️⃣
Maturity tax-free
₹40.68 L maturity - no capital gains tax
Unlike FD / ELSS on exit
Balance growth - year by year
InterestDeposits
Year 1Maturity: ₹40.68 LYear 15
Year-by-year PPF statement
Showing first 10 years · Rate: 7.1%
| Year | Opening balance | Deposit | Interest @ 7.1% | Closing balance | Total deposited | Total interest |
|---|---|---|---|---|---|---|
| 1 | ₹0 | ₹1,50,000 | ₹10,650 | ₹1,60,650 | ₹1,50,000 | ₹10,650 |
| 2 | ₹1,60,650 | ₹1,50,000 | ₹22,056 | ₹3,32,706 | ₹3,00,000 | ₹32,706 |
| 3 | ₹3,32,706 | ₹1,50,000 | ₹34,272 | ₹5,16,978 | ₹4,50,000 | ₹66,978 |
| 4 | ₹5,16,978 | ₹1,50,000 | ₹47,355 | ₹7,14,333 | ₹6,00,000 | ₹1,14,333 |
| 5 | ₹7,14,333 | ₹1,50,000 | ₹61,368 | ₹9,25,701 | ₹7,50,000 | ₹1,75,701 |
| 6 | ₹9,25,701 | ₹1,50,000 | ₹76,375 | ₹11,52,076 | ₹9,00,000 | ₹2,52,076 |
| 7 | ₹11,52,076 | ₹1,50,000 | ₹92,447 | ₹13,94,523 | ₹10,50,000 | ₹3,44,523 |
| 8 | ₹13,94,523 | ₹1,50,000 | ₹1,09,661 | ₹16,54,184 | ₹12,00,000 | ₹4,54,184 |
| 9 | ₹16,54,184 | ₹1,50,000 | ₹1,28,097 | ₹19,32,281 | ₹13,50,000 | ₹5,82,281 |
| 10 | ₹19,32,281 | ₹1,50,000 | ₹1,47,842 | ₹22,30,123 | ₹15,00,000 | ₹7,30,123 |
PPF vs ELSS vs FD — ₹150K/year for 15 years
| Instrument | Expected return | Maturity amount | Tax on interest/gains | Lock-in | Risk |
|---|---|---|---|---|---|
| PPF(this calc) | 7.1% (guaranteed) | ₹40.68 L | Nil — EEE status | 15 years | Zero |
| ELSS | 11–14% (market-linked) | ₹63.07 L | 10% LTCG above ₹1L/yr | 3 years per instalment | Moderate–High |
| FD (5-yr tax saver) | 6.5–7.5% (bank-specific) | ₹40.33 L | At income tax slab rate | 5 years | Zero |
| NSC | 7.7% (government) | ₹42.85 L | Interest taxable (but deemed reinvested) | 5 years | Zero |
PPF Calculator - Complete Guide to Public Provident Fund
The Public Provident Fund (PPF) is India's most popular long-term savings instrument - and for good reason. It's backed by the Government of India, carries zero credit risk, and enjoys a unique triple-exempt (EEE) tax status that no other common investment matches. Contributions qualify for Section 80C deduction, interest accrued is tax-free, and the entire maturity amount is tax-free.
Key rules of PPF you must know
| Rule | Details |
|---|---|
| Current interest rate | 7.1% per annum, compounded annually (Q1 FY2024-25) |
| Minimum deposit per year | ₹500 (mandatory to keep account active) |
| Maximum deposit per year | ₹1,50,000 across all deposits in the year |
| Tenure | 15 years from date of account opening |
| Extensions | Extendable in 5-year blocks after maturity (indefinitely) |
| Number of deposits | Maximum 12 deposits per financial year |
| Best time to deposit | Before 5th of every month (especially April 1 for yearly deposits) |
| Premature closure | Allowed after 5 years for specific reasons (medical, education) |
| Loan facility | From 3rd to 6th year — up to 25% of balance at end of 2nd year |
| Partial withdrawal | From 7th year onwards — up to 50% of balance at end of 4th year |
| Nomination | Available. Joint holding not permitted. |
| Minor account | Parent can open on behalf of minor child |
How PPF interest is calculated - the critical 5th rule
PPF interest is calculated on the minimum balance between the 5th and last day of each month. This is the most important rule most depositors miss.
✓ Deposit before the 5th
Depositing ₹1,50,000 on April 1st means you earn interest on ₹1,50,000 from April itself - the full year of interest. Over 15 years, depositing on April 1 every year earns you approximately ₹10,000–₹15,000 extra compared to depositing in March.
✗ Deposit after the 5th
Depositing on April 6th means the April balance (for interest purposes) is your opening balance - your new deposit earns no interest for April. One month's interest on ₹1.5L at 7.1% = ₹887.5. Consistently depositing after the 5th costs you ₹887.5 × 15 = ₹13,312 over the tenure.
PPF extension - with or without contributions?
Extension with fresh contributions
Submit Form H within 1 year of maturity
Continue depositing up to ₹1.5L/year
Earn 7.1% on the entire (old + new) corpus
Section 80C deduction continues on new deposits
Best if you don't need the corpus immediately
Extension without contributions
No application needed — account auto-continues
No fresh deposits required
Existing corpus earns 7.1% annually
Partial withdrawals allowed once per year
No 80C deduction (no new deposits)
Compare PPF vs ELSS in detail
Which 80C investment is best for your situation?
Frequently asked questions
Can I open a PPF account online?▼
Yes. Most major Indian banks (SBI, HDFC, ICICI, Axis, Kotak) offer PPF account opening through their net banking or mobile apps. You can also open at any post office branch or designated bank branch. For online accounts, the e-PPF account is linked to your savings account and contributions can be made through NEFT/IMPS. The passbook is digital and the account is managed entirely online.
What happens if I miss depositing in a PPF year?▼
If you fail to deposit the minimum ₹500 in any financial year, your account becomes 'discontinued.' You cannot make withdrawals, take loans, or extend the account. To revive it, you must pay ₹500 for each year the account was inactive, plus a penalty of ₹50 per year. Revival is possible at any time before maturity. Regular deposits are important - even a ₹500 token deposit keeps the account alive.
Is PPF the best 80C investment?▼
PPF is the best 80C option if you want zero risk, tax-free returns, and a government-backed instrument. It beats tax-saving FDs (taxable interest) and NSC (interest deemed reinvested but taxable at maturity) on an after-tax basis. ELSS typically generates higher absolute returns (11–14% vs 7.1%) but carries market risk. The optimal strategy for most people: max out EPF first (if salaried), then use PPF for guaranteed tax-free growth, and if you have additional 80C headroom and a long horizon, add ELSS for market returns.
Can NRIs invest in PPF?▼
No. NRIs (Non-Resident Indians) cannot open a new PPF account. However, if you had a PPF account before becoming an NRI, you may continue contributing to it until maturity. After maturity, NRIs cannot extend the account - it must be closed and proceeds repatriated or credited to the NRE/NRO account.
What is the loan facility in PPF?▼
From the 3rd financial year to the end of the 6th year, you can take a loan against your PPF account. The maximum loan is 25% of the balance at the end of the 2nd year preceding the loan application. The interest rate on PPF loans is 1% above the prevailing PPF rate (currently 8.1%). The loan must be repaid within 36 months. After the 7th year, you become eligible for partial withdrawals instead, which are more flexible.
How is the effective pre-tax return of PPF calculated?▼
PPF's effective pre-tax return depends on your tax bracket. Since PPF interest is tax-free, you need to earn more in a taxable instrument to equal PPF's after-tax return. At 7.1% PPF: for 30% tax bracket, equivalent pre-tax FD rate = 7.1% ÷ (1 − 0.30) = 10.14%. For 20% bracket: 7.1% ÷ 0.80 = 8.88%. For 5% bracket: 7.1% ÷ 0.95 = 7.47%. This is why PPF is exceptionally valuable for people in the 30% tax bracket.